Welcoming the Rs 4,694 crore-worth capital infusion from the government, the Indian Overseas Bank (IOB) on Wednesday said the designated amount will facilitate the bank to meet its regulatory requirements.
"The capital infusion by the Government of India is a welcome move and will facilitate the bank to meet regulatory requirements and provide fair headroom for growing credit in our niche areas.
This is a stability assurance and paves the way for moving towards the vision of "New India" of our Prime Minister Narendra Modi," the statement read.
The bank further assured their commitment to undertake responsible banking by deepening financial inclusion and being focussed on MSME growth.
"It also reaffirms the trust in Public Sector Banks and support by the Sovereign State," the statement noted.
Earlier in the day, the government announced that Rs 88,139 crore capital infusions will take place in the current fiscal, spread across 20 public sector banks.
The highest gainer is IDBI Bank, who has been allotted Rs 10,610 crore.
As per the allotted funds, State Bank of India (SBI) will get Rs 8,800 crore capital and Bank of India, Rs 9,232 crore, during the current fiscal, ending March 31.
Furthermore, UCO Bank will get Rs 6,507 crore; Punjab National Bank - Rs 5,473 crore; Bank of Baroda - Rs 5,375 crore; Central Bank of India - Rs 5,158 crore; Canara Bank - Rs 4,865 crore; Indian Overseas Bank - Rs 4,694 crore and Union Bank of India - Rs 4,524 crore.
Among the other banks selected for capital infusion are Oriental Bank of Commerce (Rs 3,571 crore), Dena Bank (Rs 3,045 crore), Bank of Maharashtra (Rs 3,173 crore), United Bank of India (Rs 2,634 crore), Corporation Bank (Rs 2,187 crore), Syndicate Bank (Rs 2,839 crore), Andhra Bank (Rs 1,890 crore), Allahabad Bank (Rs 1,500 crore), Punjab and Sind Bank (Rs 785 crore).
(This story has not been edited by Business Standard staff and is auto-generated from a syndicated feed.)